Did You Know That You Are A Micro Business Owner?

"A Big Business Starts Small"

So Richard Branson was the person who said that "A big business starts small." 

If you are a micro business owner today, it doesn’t mean that you have to remain a micro business. This is especially true if you have a vision for growth and expansion. Remember that we all have to start somewhere.

Many of us have heard about small business and being a small business owner. But, many of you might not be familiar with the term micro business. No problem. You are in the right place to learn about micro business owners and to be able to identify if you are one of us.

Why Does It Matter If I am A Micro Business Owner?

It matters because you talk with leads, prospects, marketers, accountants, tax advisors, lawyers, CRM service providers, website designers, insurance representatives, technology providers, office space renters, or even real estate owners. To better meet your needs, it is beneficial for them and for you to know what type of business you have.

Also, if you are thinking about joining a peer advisory board or mastermind, you would want to know if that board caters to micro business owners, small business owners, or large corporations. Because the person may be great and effective at helping small business owners with more than 50 employees, but they may not be effective in helping micro business owners like yourself.

Another reason why you would need to know if you are a micro business is because of the loan options that might be available for small businesses who are micro businesses. Such loans are called microloans. I encourage you to check the Small Business Administration (SBA) for more information on those loan types and see if you qualify.

So those are some of the reasons why it matters for you to know if you are a micro business owner or not.

What is a Micro Business?

The SBA recognizes a micro business as a company that has less than 10 employees in the firm’s first year. Some states may define a micro business as a commercial business where there are five or fewer employees, where one or more of the employees are the owners.

In 2015, there was a SBA report that highlighted that the finance, insurance, and real estate industries had the highest number of micro businesses. They made up 85% of the micro businesses.

Micro businesses often include sole proprietorship such as Limited Liability Corporations or LLC’s and often has less than $250, 000 per year in revenue. Micro businesses typically can require less than $50, 000 to start. 

So if you are a solo entrepreneur or solopreneur, a business owner in any industry employing less than 10 employees, have a side hustle or are a freelancer, then you would be considered a micro business.

Micro business owners include consultants and event planners.

The thing to remember is that micro businesses may very likely be in the small business beginning stages. Setting that foundation to grow into a medium or large successful business!

Problems that Micro Businesses Face

Before I end this article, I want to offer solutions to two of the common problems that micro businesses face. 

Problem 1: Securing a small loan

Solution: Seek alternative options besides going through your banking institution if you don't qualify. I provide my clients with a direct connection to alternative loan options to help them fund their micro business. These alternatives do not require a minimum year of operation or a specific monthly revenue. With the loan, my clients are able to obtain the technology, equipment, or employees that they need to move their business forward. 

Problem 2: Attracting potential customers 

Solution: Create a website, use social media marketing and build a NETWORK comprised of other business owners. The point that I am making here is that sitting and doing nothing will not attract potential customers. Harassing all your family and friends, will not help you grow your business exponentially (it might get you blocked and unfriended). Work with a business coach and marketing consultant to help you develop a strategy that will be beneficial for your business. 

I want to leave you with this.

U.S. Small Business Administration Mid-Atlantic Acting Regional Administrator Steve Bulger said:

“Micro businesses are the foundation of the creation of [the U.S.], and continue to be an important part of our economy and the strength of our communities.”

FACTS!!!!!

If you are ready to build your micro business, start with my planning guide.

Thank you for taking the time to read my article.

Regards,

Dr. Priscilla "Dr. P" Kucer

Solutions+Actions=Results! (SoAR!)